HMRC Offers £1,200 Bonus to Boost Savings for Low-Income Brits
HM Revenue and Customs (HMRC) is handing out a whopping £1,200 bonus to thousands claiming Universal Credit or Tax Credits. This cash boost is part of the Government’s Help to Save scheme, designed to support those on tight budgets.
How the Help to Save Scheme Pads Your Pocket
The scheme rewards you with a 50% bonus on your savings. For every £1 you stash away, HMRC tops it up with 50p. That means save £2,400 over four years, and you could bag a huge £1,200 bonus. Not bad for just saving regularly!
- Accounts last four years
- Bonus paid in year two and year four
- Save up to £50 a month to max out the bonus
You don’t have to stick to the £50 monthly limit—saving less still earns a smaller bonus. Flexibility is key for those living week to week.
Who Can Grab This Cash Boost?
To qualify, you must:
- Receive Universal Credit with take-home pay of £722.45 or more in your last monthly check
- Or get Working Tax Credit or Child Tax Credit and be entitled to Working Tax Credit
Eligible? Simply apply online through the Government website or call 0300 322 7093. Couples can open joint or individual accounts depending on how their payments work.
What You Need to Know Before You Sign Up
Bear in mind, having other savings accounts alongside Help to Save might affect some benefits if savings exceed set limits. However, any money saved or bonuses earned won’t impact your Working Tax Credit, giving you peace of mind while building your finances.
The Help to Save scheme is a solid lifeline for those wanting to build savings and boost financial security. For low-income families, it’s a welcome chance to get ahead.
